Click Here for Home Page

 

Abstracts - Volume 10 Part 2

Please select from the titles below:

Back to the Past Issues' Index

Do Currency Unions Affect Foreign Direct Investment Evidence from US FDI Flows into the European Union (p.1)
by K Aristotelous

This paper investigates the effect of EMU on US FDI flows into the European Union using panel data from fifteen EU countries for the period 1966-2003. The empirical findings suggest that EMU had a positive and statistically significant impact on US FDI flows into the twelve countries that adopted the euro as their national currency. The increase in US FDI flows into the EU-12 was not accompanied, however, by a decrease in US FDI flows into the three EU countries that opted out of adopting the euro as their national currency.

Top of page           

On Migration and Unemployment: Evidence from Italian Graduates (p.11)
by G Di Pietro

This paper examines the impact of the unemployment rate on the decision to migrate among recent Italian graduates. A fixed-effects approach is used to avoid potential omitted variable problems. This method allows us to account for unobservable location-specific characteristics that are likely to be correlated with the unemployment rate and the probability that an individual migrates. The empirical results highlight the importance of controlling for location-specific effects and show that lower employment opportunities are likely to encourage people to migrate if they do not have a job, but exert no influence on those who are employed.

Top of page            

Foreign Direct Investment Inflows and the US Economy: An Empirical Analysis (p.29)
M Salehizadeh

Over the last two decades, the U.S. has attracted more inflows of foreign direct investment (FDI) than any other country. General indications have pointed to FDI inflows as being a positive contributing factor to key US macroeconomic indicators. This study examines two categories of macro variables over the period 1980-2003. First, various employment and wage measures of the US affiliates of foreign firms are analyzed. The results show a rising share of the American labour force as being employed by these affiliates, and that FDI inflows favour high-wage industries and sectors. Second, regression estimates confirm the existence of a positive and significant relationship between FDI and US economic growth rates. In light of the expected rise in economic interdependence among countries, it is becoming increasingly critical for the U.S. to maintain its living standards and advantages vis-à-vis others through sustained economic growth. The findings reported here imply that, as an economy lacking enough domestic savings and running ever-rising current account deficits, it is imperative for the U.S. to continue to attract foreign capital, especially FDI.

Top of page            

Self-Employment Longitudinal Dynamics: A Review of the Literature (p.51)
by Y Georgellis, J G Sessions and N Tsitsianis

We review longitudinal studies on self-employment dynamics, classifying studies into those that examine transitions into self-employment, and those that examine self-employment exit and survival. A number of hypotheses from both the economic and social-psychological literatures are examined vis. the effects on self-employment dynamics of financial, human and social capital, intergenerational effects, and labour market hardships.

Top of page           

 

Page last modified on 15 November 2005